Question
Suppose a bond matures in 10 years with a coupon rate of 5% paid semi-annually with a current market price of $900, what is the
Suppose a bond matures in 10 years with a coupon rate of 5% paid semi-annually with a current market price of $900, what is the current yield? {Assume face value of bond is $1000}
A. 4.55%
B. 5.00%
C. 5.56%
D. 6.37%
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Corporate Finance Reader
Authors: Robert W. Kolb
2nd Edition
1878975536, 978-1878975539
